FMCG, pharma sectors shine

STOCK REPORT

Key indices on Friday closed up nearly 1 per cent with inflation remaining unchanged at 6.46 per cent against expectations of 6.51 per cent.

"The indices shed some of their gains ahead of the weekend as investors booked profits," said Hitesh Seth, analyst at Prabhudas Lilladher.

The Bombay Stock Exchange Sensex ended at 13072.10, up 92.44 points, or 0.7 per cent from Thursday, after touching a low of 12984.13 and high of 13111.87.

The National Stock Exchange's Nifty closed at 3821.55, up 23.45 points, or 0.6 per cent. It touched a low of 3785.30 and a high of 3832.20.

On the BSE there were 1,675 advances and 866 declines.

The combined turnover on NSE and BSE was Rs 10,500 crore, down 23 per cent from Thursday.

The CNX Mid-cap Index gained 1.4 per cent and S&P CNX 500 up 0.9 per cent.

Dealers said buying by mutual funds to prop up the balance sheet in view of FY07 end, helped support prices of some mid-cap shares.

A rise of 3 per cent to $66 per barrel in crude oil prices led to a decline in share prices of oil retailers and aviation companies.

Hindustan Petroleum Corp was down 0.6 per cent at Rs 247.80. Jet Airways ended down 2.6 per cent at Rs 633.20.

Air Deccan fell as the company will need to increase its fleet size with the government increasing minimum equity norms for private operators, said Surbhi Chawla of Angel Broking.

Air Deccan shares ended down 1.5 per cent at Rs 92.25.

Pharmaceutical shares were up as investors flocked to the sector as it is considered defensive.

Weakness in the information technology sector, which is the other defensive sector, also helped increase demand in pharmaceutical shares, dealers said.

Shares of Sun Pharmaceuticals were up 4 per cent, and Dr Reddy's up 3 per cent.

The BSE Healthcare Index was up 1.9 per cent.

Profit booking in IT shares such as Tata Consultancy Services, Wipro, and HCL Technologies capped gains in the sector indices. CNX IT Index was little changed.

Fast moving consumer goods companies, which opened weak, ended the day firm on value buying. Dealers said the shares had been beaten down significantly earlier in the week.

The BSE FMCG Index was up 1.6 per cent.

On Monday, the market is likely to take cues from the US and Asian markets. US personal spending data due later on Friday is likely to guide market. Dealers also expect profit booking to extend now that gains have sustained for two sessions.

Auto shares may decline because March sales numbers are likely to disappoint, analysts said.